How to Build a Million-Dollar Roth IRA If You Haven't Turned 50 Yet
Retirement planning often gets put on the backburner when you're young, but if you want a shot at becoming a retirement millionaire, it's best to start sooner rather than later. There are many types of retirement accounts to choose from, including a 401(k) and traditional IRA. However, we'll focus on how you can crush your financial goals with a Roth IRA if you haven't turned 50 yet.
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For many, Roth IRAs are the best thing since sliced bread because you can contribute after-tax dollars now in exchange for tax-free income later. For example, if your annual investments grow into a million-dollar Roth IRA, you won't have to pay any taxes on withdrawals after you turn 59 1/2 and have followed the five-year rule. This can be particularly rewarding if you expect to be in a higher tax bracket in the future and want to eliminate the worry of future taxes.
Source Fool.com
